As we continue to grow and continue to be Loud, will always appreciate you for taking 5-10min of your day to read what I have to say, thank you!

This week I encourage you to focus on your plan not the plan of the media or others, your wealth is not their wealth!

WTF was Secure Act 1.0?

WAY WAY back in 2019, Lawmakers passed the “Secure Act” aimed at ensuring easier access and ability for everyday people to save for retirement. Below I breakdown a little pros and cons of the original “Secure Act” after that we dive into 2.0, which will be covered over multiple issues as we will dive into the huge benefits for business owners and their employees, as well as some new unique strategies that will come from 2.0, i.e. 529 plan money into Roths or 401k match on Student Loan Payments!

One great thing about the Secure Act is that it makes it easier for small businesses to offer retirement plans to their employees. Before this law, it was hard for small businesses to set up these plans because they were costly and complicated. But now, they can join forces and create a Multiple Employer Plan (MEP). It's like having a team of friends working together towards a common goal!

Another good thing the Secure Act does is it lets people save more money for retirement by delaying the age when they must start taking money out of their retirement accounts. In the past, once you turned 70½, you had to start withdrawing money, even if you didn't need it yet. But now, thanks to the Secure Act, you can wait until you're 72. This gives your retirement savings more time to grow before you start using them.

Although the Secure Act has benefits, we also need to think about its drawbacks. One change that may not be as good is that it removes the "stretch IRA" strategy for most non-spouse beneficiaries. In the past, if you inherited an IRA from someone other than your spouse, you could take out the money slowly over your lifetime, letting it grow without paying taxes on it. But now, for most beneficiaries, the money must be withdrawn within 10 years of the original owner's death. This means less flexibility in managing the taxes you'll have to pay.

Another thing to consider is that the Secure Act removes the age limit for contributing to traditional IRAs. This sounds good, but it can have unexpected tax consequences. Before, you couldn't put money into a traditional IRA after you turned 70½, but now you can. However, the money you contribute might become taxable, which means you have to be careful about the taxes you'll owe.

In conclusion, the Secure Act has its advantages and things to think about. It helps small businesses offer retirement plans, gives people more time before they have to take out money, and removes the age limit for IRA contributions. However, it also changes the rules for inheriting retirement accounts and may bring unexpected taxes for those who keep working past a certain age. By understanding these pros and cons, we can make smart choices about our retirement savings and use the Secure Act's new tools wisely.

What is Secure Act 2.0?

SECURE 2.0 is designed to help address the retirement savings gap in America and make it easier for people to save for their future. The new law includes more than 90 new provisions that aim to make retirement planning better for small businesses and individuals like you.

One of the key changes brought by SECURE 2.0 is promoting saving for retirement earlier in life. This means encouraging people to start saving for their retirement as soon as possible. It's never too early to start planning for your future!

Additionally, SECURE 2.0 increases some limits on retirement contributions, allowing you to save more money for your retirement. This is great news because the more you save, the more secure your future will be.

The new law also offers incentives for small businesses to offer retirement plans to their employees. This is important because many people rely on their workplace to provide retirement savings options. With these incentives, more businesses will be encouraged to help their employees save for retirement.

Lastly, SECURE 2.0 provides more flexibility for those who are 60 years old and above as they approach retirement. This means you'll have more options and control over how you save and use your retirement savings when the time comes.

Now that you somewhat know what the hell it is, let’s start to dive deeper into how it may or may not benefit you. I am not entirely sure how many issues will end up being dedicated to the Secure Act 2.0, I know it will be more than two so buckle up!

Are you a detail nerd?

If you truly want to know all that is in the Secure 2.0 Act, look no further than below. I will keep this section in all issues so you have something to revert back to if need be

Next Week’s Issue

We will focus on how Secure Act 2.0 has awesome tax incentives for Business Owners to get plans started for their employees and for you solopreneurs out there, another reason to start your Solo K, SIMPLE IRA or SEP IRA…Stay Tuned

Hottest Tweet of the Week….

This tweet resonated with a lot of people, I am saying that overall Dave Ramsey, Orman, etc due more harm than good because they create negative money mindsets. That being said they have helped the most people with getting their budget squared away and out of debt.

#NoBSWealth Can’t Miss Episode

Cannot wait until next week or just want more, check out our podcast @nobswealth and catch us on Youtube. You can always follow me on Instagram and Twitter as well! Or just email me, [email protected].

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